Over the last decade, States have been relying more and more on transfers and grants from the Centre. In the last decade (FY16 to FY25), 23-30% of the total revenue of States was collected from the Centre as transfers. However, in the 2000s and the first half of 2010, the share was 20-24%. Also, close … Read more
You have criticized monetary policymakers’ response to the 2008 global economic crisis, which had profound spillover effects to which they “paid insufficient heed.” In your new book, Monetary Policy and Its Unintended Consequences, you offer a “sketch of a model” showing how monetary-policy spillovers “cause leveraging, booms, and eventually busts in capital-receiving countries.” How … Read more
The government on Sunday named former vice chairman of Niti Aayog and Columbia University professor Arvind Panagariya as the chairman of the Sixteenth Finance Commission (SFC), a constitutional body. Mint takes a look at what to expect from the SFC. What is the role of finance commissions? Finance commissions are independent constitutional bodies with a … Read more
India’s net direct tax collections in 2022-23 surpassed the ₹11-lakh crore mark by December 17, reflecting a 19.8% uptick over last year, the Central Board of Direct Taxes said on Sunday. Last year, in the corresponding period, it was ₹9,47,959 crore. “The net direct tax collection of ₹11,35,754 crore includes Corporation Tax (CIT) at ₹6,06,679 … Read more
The government’s cash balances have nearly halved in about a month to Rs 2.3 lakh crore as it accelerates spending on infrastructure. Higher federal spending, though potentially inflationary, should boost economic growth that fell below even the central bank’s forecast last quarter. Cash balances with the government were at Rs 2.3 lakh crore on September … Read more
Agency says lower debt trajectory key to reviewing its negative rating outlook on India Rating agencies are not enthused by the fiscal consolidation road map and the lack of major reform proposals in the Union Budget. Fitch Ratings, which has a negative outlook on India’s sovereign rating, said that beyond the higher capex drive, the … Read more
The net direct tax collection for the fiscal ended March 31 stood at Rs 9.45 lakh crore, an increase of 5 per cent over the revised estimates in the Union Budget. Central Board of Direct Taxes (CBDT) chairman P C Mody on Friday said the income tax department has exceeded the revised estimates despite issuing … Read more
The topic of the meeting is ‘Final discussion on GDP growth, tax buoyancy of the Centre and the States, GST compensation, revenue deficit grant and fiscal consolidation’ The 15th Finance Commission will hold a meeting with its economic advisory panel on Friday to discuss issues of GDP growth, GST compensation and fiscal consolidation. Chairman N.K. … Read more
NEW DELHI: The government is likely to cap its overall spending on coronavirus-related relief at around Rs 4.5 lakh crore ($60 billion), due to concerns that excess spending could trigger a sovereign rating downgrade, two senior government officials said. “We have to be cautious as downgrades have started happening for some countries and rating agencies … Read more